All Forum Posts by: Marilyn Adams

I am  a principal. I own the house am am selling this the house we found,  bought at a discount, and fixed up. . I'm selling it for 1/2 the equity  (1/2 of 35k on the back end  ...minus expenses that go with transaction costs)    a little less I would take for the income stream.    I'm selling my house for a portion of the equity and income spread it brings .  And do all the work.   It's not that creative .

btw,  I  would never put a tenant in without screening them first and running it by a loan officer to get a picture if realistic chances of qualifying within 1-2 years.   

That said I still wasn't sure about the deal which is why I posted it.  Just to get a clearer picture and bounce ideas off of people in the business.  No need to be insulting :-).  

Happy investing :-) :-) :-) 

These days you're doing great to get someone to pay you 15% interest with 2 points.  Here standard is about 12% even with savy investors who is in the business of hard money loans.  I've paid as high as 20% on a rehab but am learning that there are a lot of investors out there that are happy with the 12% return on their money....as long as they receive it in 6 months (amortized over 12 months still) .

In this situation the person to attract are those who are not the business and who may need to diversify their investment port folio as an alternative to stock.   8% is the monthly yield and at the end of the term they would get that plus 1/2 the profit which would be well over 8%.  Even if it takes 3 years for them to get their money they would receive a total of $28,000-33,000 spread over 3 years which would be over 12%.  If it takes less time then they would receive an even higher rate of return.    Of course there are risks and variables.  The bottom line is if they want a super safe investments they have to be happy with a 1.5% rate of return at the most.  There are risks of course.  But they still have a security worth $110k.     

I believe it's similar to notes in that the investor would be investing in passive income  and they would use the house as collateral.  A $75K purchase on collateral worth about $110K.  Instead of  a deed of trust, they would actually use a deed as security which seems like it's even better.  

If the buyer doesn't perform in purchasing the house, they would lost $5000 of option money and we would put another tenant buyer with similar terms or even higher price point.   

So far in the business I've been able to raise money from people in the business...but not necessarily people out of the business..  It sounds like investors who are not in the business may be a better target.  I'm not sure how to approach that.  

I am doing more income stream deals and want to know if this is a good approach for a passive investor for a jv partnership deal. Any inputs would be appreciated. We are putting a tenant buyer in the house for $5000 down and $895 per month. purchase price $110,000

Investment $75,000

monthly cash flow for investor (roughly) $500 a month

1-2 years collect the monthly payments until the date of sale.

At which point they get their principal back plus (roughly 10,000-15,000)

It's a jv partnership deal...not a lending deal. I've done jv deals on flips, not on rentals or rent to owns. Advise (even brutal in need be) appreciated. Is it a good deal for the investor? Any adjustments before approaching?

I am doing more income stream deals and want to know if this is a good approach for a passive investor for a jv partnership deal. Any inputs would be appreciated. We are putting a tenant buyer in the house for $5000 down and $895 per month. purchase price $110,000

Investment $75,000

monthly cash flow for investor (roughly) $500 a month

1-2 years collect the monthly payments until the date of sale.

At which point they get their principal back plus (roughly 10,000-15,000)

It's a jv partnership deal...not a lending deal. I've done jv deals on flips, not on rentals or rent to owns. Advise (even brutal in need be) appreciated. Is it a good deal for the investor? Any adjustments before approaching?

If you know of anyone who needs to make a solid return on their money and is interested please let me know and we can work something out. I may be able to pay a finder's fee. These both are good deals. They are not spectacular out of the park home run deals, but they are solid and a good return on the money.

Deal #1:

Do you know someone who is interested in doing Joint ventures with a 50/50 split on a house under contract for a rent to own?1-3 years of passive income and then 50% of the profit?

There is a 3/2 house one car garage.

75,000 investment

tenant buyer placed in the house for $895 a month.purchase price at $110,000

Split the rental income 50/50 (that part is negotiable...we could potentially do 60/40).At the day of the sale, get your total investment back plus 50% of the profit at day of closing..

Hence, you could get (roughly $400-$500 passive income), and at the day of sale get the principal plus 1/2 the profit.

to note buyers: you can buy notes, collect interest payments secured by a deed of trust... while your "cash cow" shrinks.OR you can make the investment, collect payments, secured by a deed on a house with no liens, receive your entire principal plus a profit at the end.No work involved on your part.Have your money work for you!

Deal #2

$16,000 investment. 20% of the profit at closing.

Working on a house that needs $16,000 to do the rehab cost. the purchase price of the house with insurance & transaction & a some rehab we started is $64,000. We need $16,000 more in rehab costs. The house is worth about $112,000.

If you can put $16,000 we can pay you back the $16,000 at closing plus 20% of the net profit.

3br/2bath

1450 sq foot house.

316 Whipple Tree Lane

Fayetteville, NC

Steve cook may be a good role model for investing in proper is without borrowing.  For example,  instead of borrowing from a private lender to flip a property you would offer to find the house , fix the house , sell the house and then split the profits .    I am working on 2 houses with 2 private lenders.  Even though we make more money that way, and the investor makes less....my goal for the next house is to find a lender who will take the deed and split the profits once we sell the house.  Learning to do reel estate with no debt is my ultimate goal this year

Do you hire VAs to take your calls?

@ Greg F....I did talk to Peter but didn't have 15K cash at the time to invest in his program. I have, however, sent out post cards. My question about Joe and Peter is: Do they offer VA's for you to hire to take in any of these calls? If not, have you learned how to hire VA's to take the calls. I know it's hard to take in all the leads and cypher through everything. I'm seriously thinking about hiring a VA to take my responses from the post cares

Anyone else with experience of VAs or Joe and Peter's program please fee free to chime in.  Thanks :-)